While the coronavirus pandemic has made many VC and PE firms take a long look at their investment strategy, a new one is just getting started in North Texas.
Bootstrap Ventures, a California- and Dallas-based PE firm focused on energy and mineral rights, with a specialization in water rights, announced its launch on Thursday.
Bootstrap did not disclose the size of its fund.
“We are emerging into a new era in virtually every capacity,” said Dennis Rogers, Bootstrap co-founder and president, in a prepared statement. "The ways in which we communicate, areas we choose to invest in, and the terms upon which we do so are evolving, and as a firm we are proud to be on the forefront of this transformation.”
The new firm will be led by Rogers, who has worked as an individual investor and preparatory trader for the World Trade Securities, in addition to selling his previous company Jornada Water Company to the City of Las Cruses in a $16.8 million deal, which marked one of the largest private water utility purchases in the country. Rogers will be joined by co-founder and partner Hunter Fedden, who comes to the company from his previous role as a realtor at Berkshire Hathaway in California.
According to the firm, it will be looking at long-term investments in early- to mid-stage companies, with returns ranging from 12% to 25%. Bootstrap lists California-based digital advertising company Perpetual Media Network and BSV Water Fund as its first two portfolio companies.
On the firm’s website, it says Bootstrap plans to prioritize “growth from within” and maintaining positive cashflow. It adds that its smaller size will help it focus on scaling and helping companies react to market conditions.
“Simply put, we’re not another one of those large investment firms focused on grabbing as much market share as possible,” Bootstrap’s website says. “Our size, approachability and availability are our greatest advantages, allowing for the personalized attention essential to determining the right companies to invest in and to grow.”
